Ask Phyllis is a blog series of frequently asked real estate questions. Have a question about real estate? Email us here
Planning a home sale and retirement
Dear Phyllis,
My wife and I are hoping to sell our home and retire. In fact, we have a significant amount of equity in our home, which represents nearly half of our net worth. Therefore, we need to move somewhere where housing prices are much lower. So, where do we begin? How do you suggest planning a home sale and retirement?
Empty Nesters
Dear Empty Nesters,
You are right to be cautious; I have had a few clients relocate only to be extremely unhappy with their new destination. If you and your wife are very active, be wary of retirement communities; I have had clients move there only to decide that everyone was too old. If I were to relocate, I would miss our climate more than anything. I have family in Washington State, and I know I would not be happy there. I have other relatives in the south, and I could not stand living with their insects. Hopefully you are not as fussy as I am.
Do you have children, grandchildren, or other family members in outlying areas? If so, that will be a good place to start. Alternatively, you may have friends who retired in other communities. Are they happy? If so, you might visit them, spend some time there, and try to imagine your lifestyle in their neighborhood.
In addition, I have had other clients opt to work a few extra years and then simply downsize locally. Have you considered remaining in an outlying, less expensive community or exploring condo living? In this scenario, you might keep the same doctors, hairdressers, friends, and more.
Furthermore, most real estate agents work with relocation directors, so an interview with one could be beneficial. However, if you are unsure, proceed with caution. For example, you might consider packing up your home, renting it out, and living simply for a few months in different areas. After all, the costs associated with buying, selling, and moving can be significant. Therefore, if you make the wrong move, it can be very costly to undo.
Related Post: Timing my home sale
Thanks for the timely (for us) discussion. We are often tempted to relocate or downsize, especially since we have a two story home that could become an issue as we age. But as you have stated we always wind up deferring the decision due to the costs and effort involved in moving